Alfredo Ovall predicts that the Chilean salmon industry will register a record production volume in 2013. (Photo: SeaCorp/StockFile)
Salmon entrepreneur expected record production in 2013
Tuesday, November 06, 2012, 15:20 (GMT + 9)
The president of the company SeaCorp Seattle LLC, Alfredo Ovalle, predicts that next year, the salmon industry will register a record volume of 870,000 tonnes.
"In 2013 we should reach the record, but in 2014 the volume of Chile is expected to go down," the entrepreneur added.
Ovalle has been proved critical with respect to the liability of Chile in the over 30 per cent fall in salmon price since November 2011.
"Norway is deemed responsible for the price fall. That is inaccurate. Chile is responsible for that, especially in markets this country has power on like the US, Japan and Brazil," the president of the importing firm highlighted.
In his opinion, this is due to the fact that the offer increased in an unbalanced way and this growth was not handled correctly.
"In Japan, Chile's offer was wholly disproportionate and it still is so in 2012," he stated.
To Ovalle, Chile and Norway should adjust their productions from 2014, which would improve salmon price.
"Today it is difficult to anticipate market behaviour. Chances are that in the second half of 2013 the stock price goes up. We expect the worst comes to an end now, at the end of this quarter," he added.
Ovalle estimates that the value recovery will occur in markets that demand fresh goods, such as the US and Brazil, La Tercera reported.
"Chile should handle volumes in the way Norway does it so as to prevent large price falls," he said.
And he added: "The issue that should be concerning and that should be analysed best is the volume that Chile should produce per species. The costs are quite high and competitiveness with Norway and with other producing countries has been lost."
However, the businessman explained that Chile has already fully recovered the lost markets due to the spread of the infectious salmon anemia (ISA) virus in 2007.
"Now Norway is intending to enter the market of frozen products, but Chile should also dominate this segment," he concluded.
- Salmon price recovery expected
By Analia Murias